Chapter 9

Hypothesis Testing

Chapter 9 Hypothesis Testing

Case Problem 1: Quality Associates, Inc.
1. The hypothesis testing results are shown below: Sample 1 Sample Size Mean Stan ar !e"iation #e"el o$ Si%ni$icance &alp'a( Critical )alue &lo*er tail( Critical )alue &upper tail( +ypot'esize "alue Stan ar ,rror -est Statistic p."alue 30 11.959 0.220 0.010 -2.576 2.576 12 0.0 0 -1.027 0.30 Sample 2 30 12.029 0.220 0.010 -2.576 2.576 12 0.0 0 0.713 0. 76 Sample 3 30 11.889 0.207 0.010 -2.576 2.576 12 0.038 -2.935 0.003 Sample 4 30 12.081 0.206 0.010 -2.576 2.576 12 0.038 2.161 0.031

Only sample 3 leads to the rejection of the hypothesis H0: = 12. Thus, corrective action is warranted for sample 3. The other samples indicate H0 cannot be rejected and thus from all we can tell, the process is operating satisfactorily. Sample 3 with x = 11.89 shows the process is operating below the desired mean. Sample 4 with x = 12.08 is on the high side, but the p-value of .03 is not sufficient to reject H0. 2. The sample standard deviations for all four samples are in the .20 to .22 range. It appears that the process population standard deviation assumption of .21 is good. With = .01, z.005 = 2.576. Using the standard error of the mean x = ! n =0.0383, the upper and lower control limits are computed as follows: Upper Control Limit = 12 + 2.576 (0.0383) = 12.0987 Lower Control Limit = 12 - 2.576 (0.0383) = 11.9013 As long as a sample mean x is between these two limits, the process is in control and no corrective action is required. Note that sample 3 with a mean of 11.89 shows corrective action is necessary because the sample mean is outside the control limits. 4. Increasing the level of significance will cause the null hypothesis to be rejected more often. While this may mean quicker corrective action when the process is out of control, it also means that there will be a higher error probability of stopping the process and attempting corrective action when the process is operating satisfactorily. This would be an increase in the probability of a making a Type I error.

3.

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Chapter 9

Hypothesis Testing

Case Problem 2: ,t'ical /e'a"ior o$ /usiness Stu ents at /ay"ie* 0ni"ersity

1. The ,ollowing -uestions were use( to obtain (ata regar(ing three types o, *heating: .uring your ti/e at 0ay'iew+ (i( you e'er present wor1 *opie( o,, the internet as your own2 .uring your ti/e at 0ay'iew+ (i( you e'er *opy answers o,, another stu(ent3s e4a/2 .uring your ti/e at 0ay'iew+ (i( you e'er *ollaborate with other stu(ents on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually2 6sing the (ata pro'i(e( we *an *o/pute the proportion o, all stu(ents+ /ale stu(ents+ an( ,e/ale stu(ents that presente( wor1 *opie( o,, the internet as their own+ *opie( answers o,, another stu(ent3s e4a/+ or *ollaborate( with other stu(ents on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually. 0ut+ to esti/ate the per*entage o, stu(ents that ha'e engage( in so/e ,or/ o, *heating+ we nee( to *ount how /any stu(ents answere( yes to one or /ore o, the abo'e -uestions. 7ne o, the easiest ways is to (o this is to a(( another *olu/n to the (ata set whose *ell 'alues will be 89o: i, the stu(ent answere( no to ea*h o, the abo'e -uestions an( 8;es: i, the stu(ent answere( yes to one or /ore o, the -uestions. There are a nu/ber o, ways to obtain the 'alues in this new *olu/n. 7ne o, the si/plest /etho(s is to 5ust sort the original (ata so the 9o responses ,or ea*h o, the three -uestions will appear at the beginning o, the (ata set< then it is a si/ple /atter to enter an( paste 9o an( ;es 'alues into the *orrespon(ing *ells in the new *olu/n. %n(+ sin*e we nee( to obtain *ounts ,or both /ale an( ,e/ale stu(ents+ the (ata *an also be sorte( a**or(ing to =en(er. >e will assu/e that this preli/inary wor1 has been (one an( that the new *olu/n is labele( 8Cheate(.: The ,ollowing tables show the nu/ber an( per*entage o, stu(ents that answere( 9o an( ;es to ea*h sur'ey -uestion+ as well as the nu/ber o, 9o an( ;es 'alues in the *olu/n na/e( Cheate(. All /usiness Stu ents Copie( ,ro/ ?nternet 9o ;es 9 Collaborate( on ?n(i'i(ual "ro5e*t 9o ;es 9 Count 7 16 90 "er*ent 82.22 17.78 Copie( on @4a/ 9o ;es 9 Count 72 18 90 "er*ent 80.00 20.00

Count 61 29 90

"er*ent 67.78 32.22

Cheate( 9o ;es 9

Count 53 37 90

"er*ent 58.89 1.11

These results show that 16 o, the 90 business stu(ents A17.78BC presente( wor1 *opie( o,, the internet as their own< 18 o, the 90 stu(ents A20BC *opie( answers o,, another stu(ent3s e4a/< an( 29 o, the 90 A32.22BC *ollaborate( with other stu(ents on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually. 7'erall+ 37 o, the 90 stu(ents A 1.11BC were in'ol'e( in so/e type o, *heating.

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Chapter 9

Hypothesis Testing

Male Stu ents Copie( ,ro/ ?nternet 9o ;es 9 Collaborate( on ?n(i'i(ual "ro5e*t 9o ;es 9 Count 1 7 8 "er*ent 85. 2 1 .58 Copie( on @4a/ 9o ;es 9 Count 39 9 8 "er*ent 81.25 18.75

Count 30 18 8

"er*ent 62.50 37.50

Cheate( 9o ;es 9

Count 27 21 8

"er*ent 56.25 3.75

Dor the 8 /ale stu(ents+ 1 .58B presente( wor1 *opie( o,, the internet as their own< 18.75B *opie( answers o,, another stu(ent3s e4a/< an( 37.50B *ollaborate( with other stu(ents on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually. 7'erall+ 21 o, the 8 /ale stu(ents+ or 3.75B+ were in'ol'e( in so/e type o, *heating. 1emale Stu ents Copie( ,ro/ ?nternet 9o ;es 9 Collaborate( on ?n(i'i(ual "ro5e*t 9o ;es 9 Count 33 9 2 "er*ent 78.57 21. 3 Copie( on @4a/ 9o ;es 9 Count 33 9 2 "er*ent 78.57 21. 3

Count 31 11 2

"er*ent 73.81 26.19

Cheate( 9o ;es 9

Count 26 16 2

"er*ent 61.90 38.10

Dor the 2 ,e/ale stu(ents+ 21. 3B presente( wor1 *opie( o,, the internet as their own< 21. 3B *opie( answers o,, another stu(ent3s e4a/< an( 26.19B *ollaborate( with other stu(ents on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually. 7'erall+ 16 o, the 2 ,e/ale stu(ents+ or 38.10B+ were in'ol'e( in so/e ,or/ o, *heating. A itional Comments The proportion o, stu(ents in'ol'e( in so/e type o, *heating is higher ,or /ale stu(ents A. 375C than ,or ,e/ale stu(ents A.3810C. The /ost *o//on ,or/ o, *heating in'ol'e( *ollaborating on pro5e*ts that were suppose( to be *o/plete( in(i'i(ually< appro4i/ately 32B o, all business stu(ents were in'ol'e( in this type o, *heating. The proportion stu(ents that presente( wor1 *opie( o,, the internet as their own is higher ,or ,e/ale stu(ents A.21 3C than ,or /ale stu(ents A.1 58C.

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Chapter 9

Hypothesis Testing

2.

95B *on,i(en*e inter'als ,or the proportion o, stu(ents that were in'ol'e( in so/e type o, *heating ,ollow. All /usiness Stu ents
p = . 111

)argin o, error E z.025

p A1 p C . 111A1 . 111C = 1.96 = .1017 n 90

95B Con,i(en*e inter'al: . 111 .1017 or .309 to .5128 Male Stu ents
p = . 375

)argin o, error E z.025

p A1 p C . 375A1 . 375C = 1.96 = .1 03 n 8

95B Con,i(en*e inter'al: . 375 .1 03 or .2972 to .5778 1emale Stu ents

p = .3810

)argin o, error E z.025

pA1 p C .3810A1 .3810C = 1.96 = .1 69 n 2

95B Con,i(en*e inter'al: .3810 .1 69 or .23 1 to .5279 3. The Chronicle of Higher Education reporte( that the proportion o, business stu(ents who a(/itte( to so/e ,or/ o, *heating was .56. Fin*e we are intereste( in testing to see i, the population proportion o, business stu(ents at 0ay'iew who a(/itte( to so/e ,or/ o, *heating is less than business stu(ents at other uni'ersities+ we are loo1ing ,or e'i(en*e that p+ the population proportion+ is less than .56. Thus+ the appropriate hypothesis test is

H 0 : p .56 H a : p < .56

>e will use G E .05.
p = . 111 an( p =

p0 A1 p0 C .56A1 .56C = = .0523 n 90

z=

p p0 . 111 .56 = = 2.85 .0523 p0 A1 p0 C n

Fin*e the test statisti* is in the lower tail+ the p-'alue is the area un(er the *ur'e ,or z C" - 33

-2.85.

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Chapter 9 6sing the stan(ar( nor/al probability table+ the p-'alue E .0022

Hypothesis Testing

0e*ause the p-'alue E .0022 .05 we re5e*t H 0 an( *on*lu(e that the ethi*al beha'ior o, stu(ents at 0ay'iew 6ni'ersity Awith respe*t to *heatingC is better than ,or business s*hools at other uni'ersities. . The Chronicle of Higher Education reporte( that the proportion o, non-business stu(ents who a(/itte( to so/e ,or/ o, *heating was . 7. Fin*e we are intereste( in testing to see i, the population proportion o, business stu(ents at 0ay'iew who a(/itte( to so/e ,or/ o, *heating is less than nonbusiness stu(ents at other uni'ersities+ we are loo1ing ,or e'i(en*e that p+ the population proportion+ is less than . 7. Thus+ the appropriate hypothesis test is

H0 : p . 7 Ha : p < . 7
>e will use G E .05.
p = . 111 an( p =

p0 A1 p0 C . 7A1 . 7C = = .0526 n 90

z=

p p0 . 111 . 7 = = 1.12 .0526 p0 A1 p0 C n

Fin*e the test statisti* is in the lower tail+ the p-'alue is the area un(er the *ur'e ,or z 6sing the stan(ar( nor/al probability table+ the p-'alue E .131 0e*ause the p-'alue E .131 H .05 we *annot re5e*t H 0 .

-1.12.

There is not su,,i*ient e'i(en*e to *on*lu(e that the ethi*al beha'ior o, stu(ents at 0ay'iew 6ni'ersity Awith respe*t to *heatingC is better than ,or non-business stu(ents at other uni'ersities. 5. The goo( news is that the proportion o, all business stu(ents at 0ay'iew that are in'ol'e( in so/e type o, *heating is /u*h less than the proportion ,or business stu(ents at other uni'ersities. 9onetheless+ the ,a*t that appro4i/ately 1B o, all 0ay'iew business stu(ents are in'ol'e( in so/e type o, *heating still in(i*ates a serious proble/ ,or the *ollege. The (ean nee(s to ta1e a((itional steps to (eal with the proble/ o, *heating in the *ollege. "ossible steps the (ean /ight *onsi(er in*lu(e the ,ollowing: Dor/ a *o//ittee o, stu(ents an( ,a*ulty to in'estigate how stu(ents an( ,a*ulty *an wor1 together to re(u*e the e4tent o, *heating. &e-uire *ourse outlines to in*lu(e a state/ent regar(ing the e4pe*tations o, the instru*tor regar(ing *heating in*i(ents an( how they will be (ealt with. Fponsor se/inars where business e4e*uti'es *an tal1 about the i/portan*e o, ethi*al beha'ior. Continue to a(/inister the e4it sur'ey so (ata *an be obtaine( to (eter/ine i, e,,orts to re(u*e *heating are wor1ing.

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